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Jul 3, 2012 ... applications and services provider. its solutions enable the digital simulation of ..... in business process management specialists ..... People and organisations also generate a torrent of data ..... critical components of your business, from raw material contracts linked to customer orders via MRP, production in.

“Our clients are no longer in the business of just building products, they’re in the business of creating the best consumer experiences through the products they make” Monica Menghini, Dassault Systèmes

Microsoft technology in discrete and process manufacturing

No boundaries

Sailboat hardware manufacturer achieves full supply chain visibility with connected ERP solution from Scalable Data Systems

Spring 2012 £9

Business intelligence | Making BI accessible, relevant and easy to use Sales and service in automotive | Keeping pace with consumer demands SQL Server 2012 | More on the latest release

More speed. More agility. More opportunities. Pick three.

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forEword spring 2012

Positioned for growth


Editor Rebecca Lambert, [email protected] Features editor Lindsay James News and online editor Karen McCandless Editorial team Amber Stokes, Michele Witthaus Head of editorial Adam Lawrence Editorial contributors Paul Brook, Dell; Jan Larsson, Siemens PLM Software; Chris Pieper, Kimberly-Clark; Craig Zawada, PROS Pricing Advertising For advertising enquiries, please contact Tudor Rose on +44 116 222 9900 or [email protected]


elcome to the Spring 2012 issue of Prime. Nearly a year on since Dynamics AX 2012 was first previewed at Microsoft Dynamics Convergence by Steve Ballmer and Kirill Tatarinov, it’s a great time to highlight the incredible success we’ve achieved so far with our latest ERP solution. Offering richer BI capabilities, the ability to easily develop and change business processes, and seamless interoperability with Microsoft technologies, Dynamics AX 2012 epitomises our commitment to bringing cost-effective, enterprise-level IT to manufacturing organisations of all sizes around the world. Rather fittingly, this issue’s cover story profiles the recent implementation of Dynamics AX at Ronstan, a world leader in the sailboat hardware and architectural rigging markets. Working in partnership with Australian partner Scalable Data Systems, the company has gained full visibility of its global supply chain and is now able to position itself for further growth. You can find out more about this on page 22. In other news, we’re proud to launch SQL Server 2012, our most advanced relational database server yet. On page 8 you can read about some of the most significant enhancements we’ve made, and over the coming months we look forward to showing how our partners and customers are using this highly cost-effective and agile platform to best fit their needs and the high demands of their business.

Publication manager Christian Jones, [email protected] Partner managers Andy Clayton-Smith, Claire Brown, Ricky Popat Subscriptions Michael Geraghty, [email protected] Reprints Stuart Fairbrother, [email protected] Publisher Toby Ingleton Art direction Bruce Graham Design Paul Robinson Creative direction Leigh Trowbridge Photography Cover photography by: Nicholas Verrochi Sailors: Tripp Burd and Michael Easton Boat Class: f18 Event: North American Championships 2011 Additional magazine photography by Website development Chris Jackson, Joe Dawson Circulation Ritwik Bhattacharjee Business management Rachael Heggs, Lesley Krotochwil, Richard Pepperman, Lynn Yates

I hope you enjoy the issue. Microsoft Tag Scan or snap the tag below for more information on Prime and Microsoft technology for enterprise businesses. To get a Tag Reader, visit on your mobile phone browser.

Çağlayan Arkan GM WW Manufacturing and Resources Microsoft


Contents spring 2012




A round-up of the key announcements from across the technology and manufacturing industries, including how Microsoft is delivering on its cloud and BI roadmap with SQL Server 2012, more information about Dassault Systèmes’ new 3D strategy and a preview of Microsoft Dynamics Convergence 2012


A business strategy


Managing data in an effective way can provide serious competitive advantage, says Paul Brook at Dell

Leading price change from the front


PROS Pricing’s Craig Zawada gives an overview of what a chief sales officer can do to ensure a pricing software implementation in their organisation is a success

Cover story

Seeing the light


Lindsay James finds out how ERP technology from Scalable Data Systems is helping Australian company Ronstan maintain its position as a world leader in the sailboat hardware and architectural rigging markets


Access all areas


Previously the domain of the IT expert, business intelligence is transforming to become accessible, relevant and easy to use in all areas of an organisation. Karen McCandless charts the BI evolution

Driving change


Chris Harries at Microsoft reports on the connected technologies that are helping automotive manufacturers get more from their sales and service operations


Design reuse





Jan Larsson at Siemens PLM Software explores how manufacturing organisations can make better use of the designs they already have to drive innovation

Simulation lifecycle management


Chris Pieper at Kimberly-Clark explains how his company is using simulation lifecycle management software from Dassault Systèmes to speed up product development

Powerful, Agile, Simple

In practice


Successful technology implementations at Baltika Breweries in Russia, the Space Research Centre at the University of Leicester in the UK, German commercial vehicle parts manufacturer Jost-Werke and US Caterpillar equipment dealer Holt Cat

Signing out

A true game changer


Newly appointed executive vice president of industry, marketing and corporate communications at Dassault Systèmes, Monica Menghini chats to Rebecca Lambert about 3D technology and what it takes to succeed in business


Microsoft Dynamics AX 2012 for Manufacturing Organizations A global ERP solution purposefully built for the manufacturing industry that helps you better manage: • Mixed-mode manufacturing • Global multi-site operations • Contract manufacturing • Green manufacturing and compliance Learn more

Published by Tudor Rose Tudor House 6 Friar Lane, Leicester LE1 5RA, England Tel: +44 116 222 9900 Fax: +44 116 222 9901 [email protected] Managing Director: Jon Ingleton Follow us: Become a fan on Facebook Connect on LinkedIn

ISSN 1747-1370 Prime is Microsoft's quarterly enterprise customer magazine for the manufacturing and resources industries. For further information and to subscribe, please visit:

Active Directory, BizTalk, Microsoft, Outlook, SharePoint, Visual Studio and Windows are either registered ­trademarks or trademarks of Microsoft in the US and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

Printed in Great Britain by The Manson Group.

Views expressed in this magazine are not necessarily those of Microsoft or the publishers. Acceptance of advertisements does not imply official endorsement of the products or services concerned. While every care has been taken to ensure accuracy of content, no responsibility can be taken for any errors and/or ­omissions. Readers should take appropriate professional advice before acting on any issue raised herein.

© 2012 Tudor Rose Holdings Ltd. All rights reserved. No part of this publication may be stored or transmitted or reproduced in any form or by any means, including whether by photocopying, scanning, downloading onto computer or otherwise without the prior written ­permission from Tudor Rose Holdings Ltd.

The publisher reserves the right to accept or reject advertising material and editorial contributions. The publisher assumes no liability for the return or safety of unsolicited art, photography or manuscripts.


partners spring 2012

Prime is produced in partnership with Microsoft (NASDAQ ‘MSFT’), the world leader in software, services and solutions that help people and businesses realise their full potential. The company offers a wide range of products and services designed to empower people through great software – anytime, any place and on any device.

Publishing Partners

Turn more ideas into successful products.

Dassault Systèmes is the world’s leading product lifecycle management software applications and services provider. Its solutions enable the digital simulation of products and the definition of manufacturing and maintenance processes and resources. Central to Dassault Systèmes’ solutions, 3D offers realistic visualisation, unambiguous communication and true collaboration.

Rackspace Hosting is the world's leading specialist in hosting and cloud computing and has been ranked in the Financial Times Top 50 Great Places to Work in the United Kingdom for the past six years. Rackspace provides Fanatical Support to its customers across a portfolio of IT services, including managed hosting and cloud computing.

For more than 26 years, Dell has empowered countries, communities, customers and people everywhere to use technology to realise their dreams. Customers trust us to deliver technology solutions that help them do and achieve more, whether they’re at home, work, school or anywhere in their world.

Scalable Data Systems, ‘Global Microsoft Dynamics AX Manufacturing Partner of the year, 2011’,  provides  ISV solutions for manufacturing and full supply chain management. Our solutions are seamlessly integrated with full visibility from purchase of raw materials, through production to distribution and delivery, and are available via over 2,000 Microsoft Dynamics AX partners globally.

Invensys Operations Management is a leading provider of automation and information technology, systems, software solutions, services and consulting to the global manufacturing and infrastructure industries. Headquartered in Plano, Texas, its solutions are used by more than 40,000 clients around the world in more than 200,000 plants and facilities.

Siemens PLM Software, a business unit of the Siemens Industry Automation Division, is a leading global provider of product lifecycle management software and services with 7 million licensed seats and more than 71,000 customers worldwide. Headquartered in Plano, Texas, Siemens PLM Software works collaboratively with companies to deliver open solutions that help them turn more ideas into successful products.

Transform your innovation process with PLM software and Microsoft. Industry Partners

Answers for industry.

Innovation is moving great ideas out of the virtual realm and into the real world. Siemens PLM Software and Microsoft® provide integrated technologies to make your innovation management processes more effi cient than ever. Together,

we extend the power of product lifecycle management (PLM) beyond engineering and manufacturing to ensure everyone involved in your business is connected — including internal teams, suppliers, partners, and customers.

Aberdeen is a leading fact-based research company, with 2.5 million readers in over 40 countries. After benchmarking 644,000 plus companies, Aberdeen helps technology end-users achieve best-in-class performance by providing research that reveals how to increase revenues, profitability and business growth.

Founded in 1986, Dedham, Massachusetts-based ARC Advisory Group has grown to become the leading research and advisory firm for industry. For the complex business and technology issues facing global organisations today, ARC analysts have the industry knowledge and firsthand experience to help clients find the best answers.

MESA is the first choice for industry professionals seeking innovative thinking and leadership to drive operations excellence. Our events and forums enable members to connect and exchange strategies, accelerate learning and knowledge transfer, and provide best practices guidance to drive greater operations performance and profitability.

OPC Foundation is dedicated to ensuring interoperability in automation by creating and maintaining open specifications. The foundation has over 300 members from around the world, including nearly all major providers of control systems, instrumentation and process control systems. Microsoft is a member of the OPC Foundation and has given strong backing to it.



“The next frontier is all about uniting the power of the cloud with the power of data to gain insights that simply weren’t possible even just a few years ago”

the latest news in DISCRETE AND PROCESS manufacturing

Ted Kummert, Microsoft

SQL Server 2012: Karen McCandless reports on the launch of the latest SQL Server release

Microsoft delivers on cloud and BI roadmap with SQL Server 2012 On 7 March 2012, Microsoft launched SQL Server 2012, the latest version of its relational database server. Launch partners include Dell, HP, EMC, Fujitsu, Accenture/Avanade and Dassault Systèmes. SQL Server dates back to 1989 when it was created from a partnership between Microsoft, Sybase and Ashton-Tate. The product has evolved significantly since its launch and today it boasts six nines uptime availability (99.9999), delivers 460 per cent savings in annual cost of administration per database over Oracle, and reduces downtime by over 20 per cent by migrating an SAP ERP environment to SQL Server. At the PASS Summit in late 2011, Ted Kummert, corporate vice president, Business Platform Division, Microsoft described how SQL Server 2012 addresses the growing challenges of data and device proliferation by enabling customers to rapidly unlock and extend business insights, both in traditional data centres and through public and private clouds. “The next frontier is all about uniting the power of the cloud with the power of data to gain insights that simply weren’t possible even just a few years ago,” Kummert said. “Microsoft is committed to making this possible for every organisation, and it begins with SQL Server 2012.” Quentin Clark, corporate VP of the Microsoft SQL Server Database Systems Group, underscored the company’s commitment to cloud computing and reinforced the message that SQL Server 2012 is a significant step up for customers running mission-critical applications and business intelligence (BI) solutions. Furthering this commitment, Microsoft will be working with the Hadoop ecosystem, including core contributors from Hortonworks, to deliver Hadoop-based distributions for Windows Server and Windows Azure that works with BI tools, including Microsoft PowerPivot.

Dell leverages SQL Server in new releases Dell has announced its 12th Generation blade, rack and tower PowerEdge servers optimised to run mission-critical business applications. According to Dell, the servers will enable businesses to turn data into insight faster. For example, with Dell Express Flash, the company can provide up to 10.5 times more Microsoft SQL Server transactions per second than HDD storage. Dell Express Flash is the industry’s first, front accessible, hot swappable PCI Express highspeed serial connection solid state disks that connect directly to the server. The new Dell offering manages the deployment, updating, monitoring and maintenance of server lifecycle. While the Dell fresh air IT equipment in its 12th Generation PowerEdge Servers data centre can result in an estimated US$3,000,000 reduction in capital expenditures. Dell designed and built

Ted Kummert explains how SQL Server 2012 addresses today’s big data challenges “It’s our goal to help customers achieve scalability, performance and deployment flexibility for mission-critical workloads running in the public and private cloud,” Clark said. “SQL Server 2012 and SQL Azure provide a complete database solution for the enterprise. The latest releases offer huge advancements that address the evolving needs of IT.” “SQL Server 2012 builds on the managed self-service BI capabilities delivered in R2 via PowerPivot for Excel, with Power View,” added Doug Leyland, Microsoft’s general manager of product management for SQL Server. “Power View is a highly interactive, data exploration

and visualisation tool that removes the need to know Excel, allowing users across the organisation to gain insights. IT departments can leverage PowerPivot models created by users and scale those models out to the enterprise via SQL Server Analysis Services. Meanwhile, more administration of these BI tools through SharePoint further helps IT teams ensure the right users access the right data at the right time. Data Quality Services also complements Master Data Services delivered in R2 with new tools for near real-time data cleansing via Windows Azure partners to further ensure end-user insights are based on trusted data.”

With SQL Server 2012, Microsoft is enhancing the BI capabilities and connecting data in the cloud and on-premise by making available SQL Azure Reporting and SQL Azure Data Sync as part of the new release. SQL Azure Reporting enables developers to create and deploy operational reports to the cloud, which can be embedded in an application or browser. SQL Azure Data Sync allows for easier sharing and synchronisation between multiple SQL Server and SQL Azure databases. Leyland said: “SQL Server 2012 also delivers many cloud-ready features built in so customers can mix and match the best of on-premise and public cloud in ways that meet their terms. SQL Server Data Tools is a new integrated development experience for developers to build next-generation web, enterprise and mobile applications across on-premises and public cloud – build once, deploy anywhere.”

its 12th Generation servers with input from more than 7,700 customer conversations in 17 countries across four continents. Dell also unveiled the Dell Quickstart Data Warehouse Appliance that will help users organise, access and analyse data. The data warehousing appliance, which is based

ICONICS, a supplier of HMI/SCADA, energy management and manufacturing intelligence software solutions, has announced its compatibility with Microsoft SQL Server 2012. ICONICS GENESIS64 HMI/SCADA suite, Hyper Historian high-speed data historian, Energy AnalytiX advanced energy management system and Facility AnalytiX predictive tools for facilities management are all compatible with the new release. The company will also continue to support earlier versions, including SQL Server 2008 and SQL Server 2005. “Ensuring compatibility with Microsoft’s new SQL Server 2012 demonstrates how ICONICS and Microsoft remain committed together to providing leading edge technology for the benefit of our shared customers,” said Melissa Topp, senior solution sales evangelist at ICONICS. ICONICS solutions deliver real-time visibility to enterprise operations and control systems for companies in the automotive, building management, food and beverage, oil/gas/petrochemical, machine builders, pharmaceutical/biotech, renewable energy, water/wastewater and utilities sectors.

on the new Dell PowerEdge servers and Microsoft SQL Server 2012, will leverage Dell Boomi for data integration. “We’re seeing the next big push from Dell as it focuses on solving its customers’ biggest pain points by delivering design innovation and operational efficiency for data centres of all sizes,” said Matt Eastwood, group vice president, Enterprise Platform Research, IDC. “Dell has optimised its entire portfolio of PowerEdge servers to address the most demanding workloads and to seamlessly scale from small businesses to its largest enterprise customers.”

For more information on business intelligence, see the feature on page 28

ICONICS supports SQL Server 2012

Dates for your diary High Tech Forecasting and Planning 14-15 April; San Francisco, USA Hannover Messe 23-27 April; Hannover, Germany 4th Cloud Computing World Forum 12-13 June; Earls Court, London, UK



the latest news in DISCRETE AND PROCESS manufacturing

PTC has successfully completed the first phase of deployment of its enterprise product lifecycle management (PLM) system at Hyundai Motor Company and Kia Motors. PTC’s Windchill PLM solution will consolidate multiple existing systems into a single platform for managing critical product data and related processes for vehicle development. A report from Avanade has revealed a major shift in the use of consumer technologies in the workplace. Globally, 88 per cent of executives report employees are using their own personal computing technologies for business purposes. Meanwhile, 60 per cent of executives are now adapting their IT infrastructure to accommodate these technologies. Columbus has entered into an agreement with UK glass manufacturer Romag to implement a fully integrated, 52-user, Dynamics AX enterprise resource planning system. The solution replaces specialist sales order system GlassPro and a Pegasus Opera accounts package that previously managed financials, purchasing and invoicing. Deschutes Brewery has selected Demand Solutions’ supply chain management software to increase forecast accuracy and improve customer service levels. The craft brewery was looking for a system that could integrate third-party data from beverage industry market data provider, Vermont Information Processing. Microsoft and ICONICS have launched a joint whitepaper/case study entitled Next Generation Energy and Manufacturing Analytics, which includes information on how ICONICS Energy AnalytiX uses Microsoft data platform components such as SQL Server StreamInsight to deliver market-leading energy management solutions.

Satellites advance with Teamcenter

DS unveils social 3D strategy

Space Systems/Loral has selected Siemens PLM Software’s Teamcenter digital lifecycle management system to help enable the development of the world’s most advanced satellites. The provider of commercial satellites made the decision to begin to implement the product lifecycle management (PLM) technology in February. The implementation will take place throughout 2012 and replace its existing product data management systems. “As part of our commitment to product and process improvement, Space Systems/Loral has selected Teamcenter as our new PLM platform,” said Mouctar Diallo, vice president of information technology, Space Systems/ Loral. “We conducted a thorough selection process which resulted in selecting Siemens as it proved to be the best PLM vendor for Space Systems/Loral to partner with.” “Our vision for all of our customers is to provide the technology, services and expertise that will help them make smarter decisions that result in better products, so we are delighted that Space Systems/Loral has joined so many other companies in embracing that vision and migrating to Teamcenter as its company-wide foundation for PLM,” said Chuck Grindstaff, president and CEO, Siemens PLM Software. “This agreement with Space Systems/Loral

Dassault Systèmes has launched its 3D Experience platform and acquired Netvibes as part of a new strategy that connects designers, engineers, marketing managers and consumers in a new ‘social enterprise’. Netvibes, which was set up in 2005, pioneered the first personalised dashboard publishing platform for the web. Dassault Systèmes will integrate the dashboard intelligence company’s publishing platform into its 3D Experience platform. “We have evolved the V6 platform with our customers over the last few years,” said Bernard Charlès, president and CEO, Dassault Systèmes. “The addition of intelligent information search-based technologies, social innovation capabilities and realistic 3D virtual experiences made us ready to pioneer a new technological wave: a 3D Experience platform to serve the social enterprise of the 21st century.” “3D virtual store applications, 3D visual logistics applications, as well as easy and real-time-connected business dashboarding have already changed the way companies operate,” added Charlès. “With the launch of our 3DSwYm brand and the acquisition of internet companies such as Exalead and Netvibes, we are further reinforcing the

Space Systems/Loral uses PLM in the development of its satellites highlights the market leadership of our PLM offering in the aerospace and defence market, but also underscores the role our technology plays in innovation,” said Eric Sterling, senior vice president, general manager, Teamcenter, Siemens PLM Software. “Clearly the world’s most widely used digital lifecycle management system continues to play a critical role for companies focused on innovation as their mission.”

Yaveon strengthens Dynamics portfolio Yaveon has acquired a majority shareholding in business process management specialists This will enable Yaveon to expand its service portfolio, strengthen its information and process management business, and speed up development of its own industry solutions. will gain additional consulting expertise and enterprise resource planning (ERP) know-how.

“We have joined forces and are now working to ensure that our software includes optimised reference models and flexible key performance indicators for Microsoft Dynamics systems and thus significantly can increase the value of our solution for the business in the ERP segment,” said Thomas Handlir and Christian Fehlinger, the two founders and managing directors of

Netvibes provides personalised dashboards for enterprise customers social business apps which are part of our 3D Experience platform.” “Our objective is to provide our clients with a powerful platform, which uses the universal language of 3D and the web as the user interface, to help them connect

Driving the 3D experience Dassault Systèmes has announced the recent

executive team. Along with the widening success

appointment of Monica Menghini as executive

of the V6 platform in a variety of industries,

vice president for Industry, Marketing and

Monica’s marketer approach and strategic skills

Corporate Communications, and a member of

will contribute immense value for our customers

the Dassault Systèmes Executive Committee.

and their ecosystem,” said Bernard Charlès, CEO,

Menghini will drive the company’s new 3D

Dassault Systèmes. “She will connect the dots

experience value creation framework.

between brand equity, product innovation and

“Our ambitious roadmap and the major social

the dots for a game-changing increase in end-user value,” said Monica Menghini, recently appointed executive vice president, industry, marketing and corporate communications at Dassault Systèmes.

Fast fa ct

Dassau lt Systè added mes 18,000 new 3 applica D tion cu stome rs in 201 1

marketing excellence to ensure we bring the

transformations that our customers are going

best value to our customers in all the industries

Find out more about

through called for the reinforcement of our

we serve together with our partners.”

Menghini on page 48



the latest news in DISCRETE AND PROCESS manufacturing

Invensys achieves virtualisation first Global manufacturing and infrastructure industries IT specialist, Invensys Operations Management, has become the first industrial automation provider to be certified for high availability, disaster recovery and fault tolerance in supervisory control applications leveraging the VMware and Microsoft Hyper-V virtualisation platforms. “Historically, high-availability and disaster-recovery solutions in supervisory control systems were expensive to implement, not only because of hardware and software costs, but also because of additional administrative burdens,” said Maryanne Steidinger, director of product marketing, Invensys Operations Management. “When ArchestrA System Platform 2012 and InTouch 2012 software are deployed, they support high-availability and disaster-recovery implementations using Microsoft Windows Server Hyper-V, as well as the latest remote desktop services that are part of Windows Server 2008 R2. All this is possible on commercial operating systems using off-the-shelf hardware, further reducing cost and easing implementation of mission-critical applications.” “End users are rapidly deploying virtualisation solutions to reduce the number of physical servers needed for their plants in order to lower their hardware costs, IT costs and energy bills,” said Craig Resnick, vice president, ARC Advisory Group. “Virtualisation technology also helps end users with system deployment of high-

Implemented in mirrored configurations such as the above, virtualisation can reduce costs and improve performance availability, disaster-recovery and fault-tolerance solutions as it is used to quickly get plants back up and running when computers fail, regardless of location. Invensys Operations Management’s certification for both VMware and Microsoft Hyper-V ensures that its customers are covered and protected regardless of their choice of platform.”

MESA research looks at metrics that matter New research has revealed that manufacturers using predictive and holistic plant operations metrics are more likely to make financial improvements. This is according to Pursuit of Performance Excellence: Business Success through Effective Plant Operations Metrics, a report released by MESA International and industry analyst and consulting firm Cambashi. The research revealed that significant improvements in financial performance are the result of a multi-faceted effort in the areas of plant performance metrics programmes, improvements and IT applications. The report also shows that over a third of responding manufacturing

companies are piloting or planning to buy manufacturing execution systems or manufacturing operations management systems (MES/MOM) and operational dashboard software, also called operational intelligence or enterprise manufacturing intelligence. Those using MES/MOM and operational dashboards are more likely to have made greater business performance improvements than others. This is the fourth primary research study in the MESA Metrics that Matter series, started in 2006 and was based on a survey of 305 individuals from manufacturing and production companies.

Movers and shakers

Robert Frost has

been named as the new group chief executive officer of UK IT provider Anglia Business Solutions

Boeing, the world’s leading

aerospace manufacturer, has secured its biggest ever order valued at US$22.4 billion from Indonesia’s largest private airline, Lion Air Sales at tyre maker


rose 6.7 per cent last year,

increasing from €17.8bn in 2010 to €20.7bn in 2011

“In line with our new global emphasis, we’ve worked even harder to provide more networking opportunities than ever before”


the latest news in DISCRETE AND PROCESS manufacturing

Fred Studer, Microsoft

Event preview: Convergence 2012

A world of opportunity in Houston

Partner viewpoint: Maryanne Steidinger,

Partner viewpoint: Bill Harrison,

Partner viewpoint: John Scandar,

Invensys Operations Management

Demand Solutions

Edgewater Fullscope

A key event for Invensys

Showcasing DSX

A platform to launch PI2

Invensys is a long time Microsoft partner,

Demand Solutions will once again be

Edgewater Fullscope is delighted to

adopting its technology stack, sharing

showcasing its innovative supply chain

be attending Convergence for the

roadmaps and product directions,

solutions at Convergence 2012. Our

ninth consecutive year. More than ever,

and being one of the first automation

booth will feature demos of our forecast

manufacturers are looking for the best

suppliers to offer Microsoft-based

management, sales and operations

technology solutions to address day-

products to the manufacturing industry.

planning, advanced planning and

to-day business challenges across their

Convergence is a key event for Invensys

scheduling, requirements planning,

operations – especially ones that are

since we have additionally invested in

inventory management and collaboration

specific to their industry.

building offerings that complement the

tools, as well as knowledgeable supply

Dynamics ERP solutions.

chain experts to answer your questions.

deep industry functionality, Fullscope

We will be showcasing our Wonderware

Microsoft’s Kirill Tatarinov (right) will present at Convergence 2012, which promises to be even bigger and better than last year’s event Microsoft Dynamics’ Convergence 2012 is coming to Houston, Texas in the US on 18-21 March. This year’s annual event for the Microsoft Dynamics customer and partner business community is on track to be the largest and most successful to date, promising attendees a jampacked agenda with a new worldwide emphasis. General Colin Powell, USA (Ret.), former US Secretary of State, Microsoft’s COO Kevin Turner and president of the Microsoft Business Solutions division Kirill Tatarinov will all be presenting keynote addresses. Meanwhile, over the course of the four days, attendees will get the chance to attend presentations, take part in discussions and try out the latest technology solutions. New for this year are ‘Sponsor Sessions’ to offer more insight into solutions from Microsoft Dynamics ISVs and business partners; community-driven ‘Hands on Labs’ for more in-depth product demos; and ‘The Convergence Experience Center’, which brings together sponsor and exhibitor booths, Hands on Labs and the conference store in one area. As Fred Studer, general manager of Microsoft’s

Dynamics product group, explains, Convergence is all about the Dynamics community getting together to learn and share, and meet and network with their peers. “Under the theme ‘A world of opportunity’, this year we are aiming to deliver even greater value and business opportunities to our international community,” he says. “We’ve worked harder to provide more networking opportunities than ever before to build on the strong community spirit the Microsoft Dynamics ecosystem is known for and help every attendee maximise their experience.” Before the conference even starts, Microsoft is encouraging attendees to network through its website. Using Convergence Connect, delegates can access attendee profiles to identify people they want to set up meetings and interact with. They can also review all breakout sessions and activities to build a schedule that suits them. “For the first time, we’ve also developed a Convergence mobile app,” says Studer. “Available to download on the Convergence site, it’s a fun and unique app that gives attendees event information on the go, as well as information

about what they can experience in the Houston area, including restaurant locations and local attractions. We’ve even developed an interactive game for them to play.” Reflecting on what’s been an extremely successful year for the Microsoft Dynamics community, Studer says: “We’re going to be making some significant announcements at Convergence 2012. This year we’ve taken the Microsoft Dynamics product portfolio a step further and we’re building on that momentum. With the likes of Dynamics CRM 2011 and Dynamics AX 2012, we’re proving our relevance in the enterprise space. Not only are we providing richer functionality than ever before, but we’ve also brought the best of our other product groups into the equation – from Microsoft Azure, BI solutions, SharePoint, Lync and Office to Windows Phone and Xbox Kinect. We’re working to bring our customers the best of business and consumer technology innovations to get the most from their IT investment.”

As a result of this continuing trend for

Our demand planning software suite

will leverage Convergence 2012 as an

MES/Quality solutions, which provide

is one of the leading global solutions for

opportunity to launch our new Process

tracking, tracing and genealogy of

Microsoft Dynamics AX. We have CfMD

Industries 2 (PI2) series of products,

products, from raw materials through

certification for Microsoft Dynamics

including one for chemicals, food and

to finished goods. We’ll also show our

AX and Dynamics NAV with customers

life sciences. Each Fullscope PI2 solution

enterprise asset management products

around the globe. We support two

features a complete set of applications

from Avantis, which enable enterprises

versions of Demand Solutions Supply

with an eye to the industry functionality

to meet the maintenance and materials

Chain software – our legacy version

needed to best run that type of enterprise.

management requirements of today’s

and DSX. DSX uses the latest Microsoft

For example, Fullscope PI2 for Chemicals

asset-centric organisations. Both the

technologies, which gives us a platform to

helps chemical manufacturers use

Wonderware MES and Avantis EAM

truly innovate supply chain planning. In

Microsoft Dynamics AX 2012 to address

products offer Dynamics customers an

the coming weeks we will release several

key operational challenges like managing

integrated solution for enterprise-wide

new products, including DSX S&OP and

the purchase price for potency items

visibility and control.

Demand Solutions Workflow, which

based on the level of active ingredient;

allows companies to improve information

managing the inventory levels of those

our partner network and allows us to

flow in their business and receive real-

potency items; batch order balancing

renew relationships. The number and

time notifications so people can prioritise

or dispensing recommendations;

quality of partners that participate in the

tasks and set up work queues.

lot genealogy and product attribute

Convergence is critical to building out

event is unrivalled, allowing us to share

Demand Solutions’ product suite has

inheritance, and scheduling with product

our portfolio, discover complementary

helped companies reduce inventory,

and work centre sequencing. The new PI2

partner solutions to ours, and set our

increase customer satisfaction levels and

solutions will be available directly from

roadmap according to the meetings and

increase working capital for more than

Fullscope as well as from other certified

strategic planning sessions at the event.

26 years.

Microsoft Dynamics AX resellers.

Maryanne Steidinger, director, product marketing, Advanced

Bill Harrison

John Scandar, senior


is president of

vice president,

Software, Invensys

Demand Solutions

Edgewater Fullscope



Paul Brook

big data

EMEA Cloud Builder Program Manager, Dell

viewpoint pricing optimisation

Craig Zawada Senior Vice President, Pricing Excellence, PROS Pricing

A business strategy

Leading price change from the front

Managing data in an effective way can provide serious competitive advantage, says Paul Brook

Craig Zawada gives an overview of what a chief sales officer can do to ensure a pricing software implementation in their organisation is a success

It’s no surprise that in this digitally connected world we live in, the volume of data that companies have to process has exploded. According to an IDC report, over 1.8 zettabytes of data was created and replicated in 2011. Not only are businesses collecting more data than ever, but they are also continuing to grapple with what the industry has termed ‘big data’ – the tools, processes and procedures that enable a company to manage large and varied datasets. The term ‘big data’ is not an entirely new concept, but it is becoming increasingly pertinent with the rise of the ‘Internet of Things’ – think smart electricity meters, TVs, e-book readers, process control and location-tracking devices. At the start of the decade, predictions of having 50 billion ‘things’ connected to the internet by 2020 is starting to look like a conservative estimate. People and organisations also generate a torrent of data, in a range of formats, using services such as Twitter, Facebook and YouTube. With this immense growth in data comes the requirement to mine and manage it, while searching and analysing it in new and faster ways. But instead of seeing all this information as a potential problem and devising a coping mechanism, companies should be looking at what advantage they can gain by processing this data in a more efficient and effective way. Leaders in the field such as BMW, Wal-Mart and Dell have already recognised the importance of processing these previously untapped quantities of data. Those companies that ignore this information are missing out on insight that could be vital to business success. While organisations have historically placed data into structured silos, the opportunity to join this together with unstructured data

means that businesses can gather meaningful and competitive insights in order to better tailor products and services to their customers, improve decision making, boost performance and enable future product development. Businesses can achieve this by creating a scalable environment that can store, analyse and process all this data. One option is the Apache Hadoop open source platform. Microsoft’s big data roadmap features enterprise-class Hadoopbased solutions on both Windows Server and Windows Azure. Virtualisation and cloud computing can also enable a scalable, more agile environment to help organisations be better, quicker and smarter. For example, implementing private cloud within your own data centre, using technology such as Dell’s Virtual Integrated System (VIS) helps to improve data centre efficiency by responding to selected business requests in seconds. VIS links into hypervisors such as Microsoft Hyper-V so that in virtualised environments, companies are able to move the services they offer around their data centre(s) or shrink and grow services as demand requires. VIS also allows IT to move services from physical to virtual and back to physical. Cloud style flexibility is a useful feature when big data requirements add to the systems demands from business as usual. But companies need more than just technology – they need to think about their approach to big data in terms of their overall business strategy. Manufacturing companies could look to industry best practices from other sectors such as retail to find out how they can get the most out of their data and gain maximum competitive advantage. Paul Brook is EMEA cloud builder program manager at Dell

“Instead of seeing all this information as a potential problem and devising a coping mechanism, companies should be looking at what advantage they can gain by processing this data in a more efficient and effective way”

Pricing software should be viewed as an enabler to building a company’s overall infrastructure for pricing excellence – not as an end in itself. The involvement of the CSO, as well as their direct reports, is absolutely critical to accelerate and embed change throughout the sales organisation. CSOs invariably encounter cultural and even emotional resistance along the journey. Salespeople can view the freedom to set price as central to their personal power and authority. When that authority is managed more tightly, some resistance is unavoidable. In my experience, there are four key areas where CSOs can help address this resistance and drive positive change. Foster understanding and conviction. Before a sales organisation can step up to its role in pricing excellence, individuals need to understand what they are being asked to do and why. The CSO must align the sales organisation around the vision of how new software is going to make them more successful, make a credible case for the success of the initiative and point to the path being taken to get there. Only the CSO can clearly and convincingly make the case through frequent and consistent communications across the sales organisation and to other stakeholders. Reinforce the pricing change with other formal mechanisms. A number of elements of a company’s pricing infrastructure will ‘hardwire’ the opportunities created by pricing software. Ensure pricing processes are in place that link closely with the largest opportunities (for example, approval processes for frontline prices below certain thresholds to reduce unintended variation). Balance these processes against the need to reduce administrative

burden and to ensure speed of dealing with customer requests. A CSO is in the best position to make the decisions around these trade-offs. Develop the pricing talent and skills of sales people. Just as giving someone a hammer, nails, lumber, and a drawing does not make them a master carpenter, neither does providing an individual with pricing tools and guidelines create a good pricer. Building pricing skills takes time. Experience has shown that piggybacking pricing-related learning with other sales meetings is a good way to encourage up-skilling of employees. Pricing tools will help identify those who are very good at getting both volume and margin (although they may not be top revenue salespeople). The pricing group can then conduct workshops with these individuals to codify the skills that make them distinctive and use this as material for a broad-based training programme. Create role models to demonstrate that sales leaders are behaving in new ways. Failing to sufficiently involve regional and district sales managers is the most common failure mode. Sales managers can’t just provide input into this project – they must be on the hook to make it work for their people, so they need to intimately understand the tools and how to use them. They also need to be coached on how to get the most out of the performance metrics and dashboards created by the software. Experience shows that CSOs must focus on all four of the areas above. Overlooking even one can mean losing valuable steam toward making the desired impact on a sales organisation.

“Just as giving someone a hammer, nails, lumber, and a drawing does not make them a master carpenter, neither does providing an individual with pricing tools and guidelines create a good pricer”

Craig Zawada is the senior vice president of pricing excellence at PROS Pricing, a global pricing optimisation software provider 17




Not only is Ronstan a world leader in the global sailboat hardware market, it is also dominant in the architectural rigging industry

Lindsay James finds out how technology from Scalable Data Systems is helping Australian manufacturer Ronstan maintain its position as a world leader in the sailboat hardware and architectural rigging markets through a connected ERP system

The sailboat hardware market and the architectural rigging market are worlds apart, but Australian business Ronstan has a dominant position in both. Indeed, the end-to-end design, manufacture and distribution operation has grown to become the only serious competitor in the region, handling more than 4.9 million units per year from its state-of-the-art design and manufacturing plant in Melbourne. The company has a strong international presence too, and is recognised and represented in over 40 countries across the globe. In addition to its Australian head office and plant, Ronstan has a large facility in Denmark which manufactures the company’s range of big boat hardware as well as its Andersen range of winches. “Ronstan fittings can now be seen on leading yachts and dinghies around the world, and are highly sought after by the world’s best sailors and boat builders,” explains Laine McCooke, Ronstan’s finance director. “But that’s just the start. Our strategy of diversification has led us from sailboat hardware into many new markets – most recently the architectural rigging and industrial markets.” Today Ronstan has an enviable profile in the architectural and yacht rigging fields. Due to the high strength, low friction, compact size and resistance to corrosion of Ronstan products,


cover story RONSTAN

their architectural and industrial applications are seemingly limitless. In fact, Ronstan rigging products can now be seen in some of the world’s most prominent buildings and structures such as the Sydney Opera House, New York’s Madison Square Garden, South Africa’s Moses Mabhida Stadium in Durban, Melbourne’s Federation Square, the Melbourne Cricket Ground and the Smithsonian National Zoo in Washington DC. Ronstan has come a long way over the years, but until recently, there was one thing holding it back – its IT system. “We’d been using a legacy enterprise resource planning (ERP) system for over 20 years, which was based on 1970s green screen technology, and had around eight different menus that we had to navigate,” explains McCooke. “With offices in six other countries, using this system to try to balance schedules, financials and inventories all around the world was not only cumbersome, but was putting extra strain on the business. We had no visibility of inter-company trading, poor production scheduling tools and little sight of production movement through our factory. Each division was using different systems in different languages, which meant that producing the monthly accounts could take from eight to ten days. It was a nightmare scenario.” There was no doubt that a new, integrated supply chain system was in order – one that would allow Ronstan’s employees to make better decisions with greater confidence, and that would automate and streamline processes, and connect global customers and offices with ease. McCooke and his team started by evaluating ten leading ERP solutions from different vendors. “It was an exhaustive selection process, taking around 12 months from start to finish,” he explains. “We compared products and their capabilities, as well as quotes and packages, before reaching a decision.” After the full evaluation process, Ronstan decided to implement the Microsoft Dynamics AX solution from local Australian partner Scalable Data Systems. “Through


Lacking visibility in your supply chain?

Ronstan now has better visibility of its global supply chain thanks to Dynamics AX the provider selection process the team at Scalable were able to show a very good understanding of our business needs and demonstrated how Dynamics AX could be configured and developed to meet those needs,” explains McCooke. “They were price competitive and provided a detailed implementation plan.” Established in Australia over 27 years ago, Scalable Data Systems works exclusively with Microsoft Dynamics AX and manages a wide variety of implementations, from rapid fasttrack implementations through to complex integration and development projects. “We understood that ERP was a serious investment for Ronstan – an investment in

not only functionality and implementation of technology, but also in a partnership between businesses and their people,” explains Brett Crew, Scalable’s director of operations. “We are committed to Ronstan’s success and we believe that Dynamics AX is the most comprehensive, flexible and cost-effective solution for the company.” “Scalable is a unique organisation, and its products have a unique value proposition,” adds Rakesh Kumar, global industry product director of manufacturing for Dynamics ERP at Microsoft. “The company has deep industry knowledge as it has been focused on solutions for manufacturing and distribution for over 25 years. Its products provide unique

see know grow Manufacturing enterprises across the globe are striving for best practice to streamline their ‘production’ and ‘end to end’ supply chain.

Stiff competition demands better customer satisfaction and on-time delivery. The board demands improved ROI, reduced inventory, lower cost of sales and higher profit.

These efforts are being hindered by disparate data systems and cumbersome, error-prone manual processes.

Holistic Supply Chain Management

cover story RONSTAN

Microsoft Dynamics AX Manufacturing Partner of the Year, 2011

value propositions in the manufacturing marketplace. For example, instead of using custom applications, customers can use Scalable’s standard Commodity module to manage contracts inside AX. This module has full integration with net requirements and master planning, so that production and logistics know what raw materials they have, where they are and when they can use them. In addition, because all of this information is handled under the Dynamics AX umbrella, management has full end-to-end visibility of the supply chain, and up-to-the-minute profit and loss data. Competing products can’t boast this kind of integration, which gives Dynamics AX a critical edge.” The implementation took approximately nine months to complete. “We worked with Ronstan to review and document all of its business processes,” explains Crew. “There was also significant development work required, including integration with Ronstan’s vertical carousel warehousing equipment and shop floor production tracking software.” “A good, detailed job was done with data conversion, system testing and user training,” adds McCooke. “A major success factor was getting all department heads on board. We also created ‘power users’ within each area of the business. These high level users

then documented the system, worked with Scalable on system configuration and the training of other staff.” The result is a system that has changed the way Ronstan works forever. “We now have a multi-site, multi-company, multi-currency, multi-country integrated business system to improve supply chain efficiency across our group,” says McCooke. “We have full supply chain visibility into customer demand and the delivery of goods globally. This helps our staff make faster, better business decisions and take the best course of action when adjustments are necessary. With features such as automatic notification, we can easily keep tabs on inventory, helping to sustain optimal item levels without tying up funds in the warehouse. We can also connect closely with operations to make sure manufacturing has the materials it needs to deliver products on time.” Staff can see different layers of information from a single entry point. For example, regardless of currency, a sales order could be tracked as it flows through inventory, debtors and ledger, meaning enough information is available to generate reports automatically. This also means time is no longer wasted manipulating reports from various data sources externally in spreadsheets. “With this system in place, reporting times have now



see know grow dropped remarkably, which is fantastic,” says McCooke. “This means that we have more time to spend on growing and nurturing the business and our customers.”

Find out more ...

Scalable’s ‘Holistic Supply Chain Management’ seamlessly integrates the total supply chain. Binding together critical components of your business, from raw material contracts linked to customer orders via MRP, production in to finished goods through to customer delivery, the process integrates transport planning, voyage management and landed costs. Rebates and full financial reporting complete the solution allowing up to the minute accurate reporting to all levels of the business from CEO down. Contact Scalable for the full suite of solutions available. prime-magazine

Register online

cover story RONSTAN

For the latest news and views from Microsoft and its partners

Minimal time is spent on product training and learning. “Because the solution is built using Microsoft technologies the user interface is familiar, consistent and comfortable,” says Crew. “This helps Ronstan’s team quickly adapt to the system and find the information they need the most.” Further benefits of using the Microsoft platform include its easy integration with Ronstan’s PHOCAS business intelligence system, and the level of support that comes from such a global player. “Dynamics AX is extremely well supported, and we are sure that whatever needs we have, both Scalable and Microsoft will be there for us,” says McCooke. “It’s a product that is heavily invested in, and we have confidence that there will be a

structured upgrade path going forward.” In the months to come, Ronstan is planning to work with Scalable on a number of new projects, including working with its recently acquired Danish operation to migrate it from Dynamics NAV to Dynamics AX. “We also hope to further expand in the architectural and industrial markets in both Australia and overseas, and I’m confident that Scalable will support us in this,” McCooke concludes. “We now have an IT platform that we feel confident any acquisition we may make in the future could be bolted onto, be that almost any type of business or country in the world. We cannot see there ever being any future need to change from Microsoft Dynamics AX or Scalable Data Systems.” is the definitive source for companies that use Microsoft technology. Microsoft’s unrivalled partner ecosystem is constantly launching new and improved software tools to boost business performance. Whether you’re in manufacturing, retail and hospitality, communications, financial services or the public sector, visit to keep in touch with Microsoft and its partners. News Product launches, customer wins and key Microsoft announcements. Keep in touch with the latest developments that can boost your business

Digital editions Along with print editions, each magazine is also available in digital format direct from Resources Case studies, analyst reports and white papers: detailed information on how Microsoft and its partners are enabling business excellence

Partner spotlight: Scalable Data Systems

Recognising success Scalable is an award-winning Microsoft partner. In 2011, it was named Microsoft Dynamics Manufacturing Partner of the Year Scalable and Microsoft work together on

Partner Conference (WPC) in Los Angeles.

many common initiatives around solution

Scalable’s director of operations, Brett Crew,

development as well as marketing. Microsoft

accepted the award in front of 15,000 people

shares the key components of solution

at the Staples Center. Brett said: “It is a great

strategies in the manufacturing, distribution

achievement, attributable to the hard work of

and retail verticals with Scalable. Subsequently, our focused team.” Scalable also participates in solution testing

The award honours partners which

phases. “This provides Scalable with a better

have exhibited excellence in providing

understanding of solutions, ahead of their

innovative and unique solutions based on

release, and also enables them to build and

Microsoft Dynamics to customers in the

modify their complementary add-on solutions manufacturing industry. “Scalable Data as appropriate,” explains Rakesh Kumar, global

Systems has demonstrated industry insight

industry product director of manufacturing for and a commitment to high-quality Microsoft-

Brett Crew accepts the award for International Manufacturing Partner of the Year from Microsoft Corporate Vice President Jon Roskill at Worldwide Partner Conference in Los Angeles, 2011

Dynamics ERP at Microsoft. “Scalable is one

based solutions, earning it the award for the

of our unique partners who is a VAR as well as

Microsoft Dynamics Manufacturing Partner of

an ISV. They also work closely with Microsoft

the Year,” says Doug Kennedy, vice president

in many go-to-market initiatives around the

of Microsoft Dynamics Partners at Microsoft.

creates many win-wins from solution designs

world, driving product sales of Dynamics AX.”

“Scalable Data Systems’ solutions help

to customer satisfaction to winning in a

As a result of the company’s success,

manufacturing clients get real-time insight

difficult marketplace,” adds Kumar. “I have no

Scalable has recently accepted the award

into business and supply chain information,

doubt that this partnership will continue to

for the Microsoft Dynamics International

reduce costs and time to market, and respond

enable us to gain more market share in the

Manufacturing Partner of the Year, 2011,

quickly to changing customer demands.”

manufacturing and distribution space for a

which was presented at Microsoft’s Worldwide

“The Scalable-Microsoft relationship

long time into the future.”

Partner Directory A comprehensive list of Microsoft partners with solutions for your sector and coverage of their key announcements

Microsoft Magazines is the electronic home of Microsoft’s four industry magazines: Finance on Windows, Speak, Touch and Prime Enterprise technology on the Microsoft Windows platform

feature Business intelligence

Previously the domain of the IT expert, business intelligence is transforming to become accessible, relevant and easy to use – across platforms, at any time, anywhere, no matter what your skill set. Karen McCandless charts the BI evolution

Business intelligence is not a new concept in the manufacturing industry. By now, most manufacturers have some sort of system in place that can collect the data produced in day-to-day operations. However, often companies are just going through the motions and not actually gaining any new knowledge or business benefit from this data. Meanwhile, manufacturers now have value chains that are spread around the world with multiple companies involved in them, meaning that this data is no longer in their back yard. “Supply chains have changed a lot in recent years, and have become increasingly complex and more global. For example, raw materials might now be sourced from all over the world, as opposed to being sourced locally,” says Rob McGreevy, vice president, Platform and Applications, Invensys Operations Management. “Today companies also need a lot more information about other areas of the business in order to optimise the overall manufacturing operations. Previously process and production control data may have been sufficient, but now information from enterprise systems, laboratory information management systems and facilities and energy management systems might be required.” “The whole concept of the supply chain has changed with companies outsourcing more processes to suppliers,” says Robert Ayala, finance senior consultant, Dell. “This means that a manufacturer’s need for relevant information is growing.” This increase in both the number of data points through which companies receive their information and the amount of data they receive, combined with the rise in use of social media and devices, means that the need for effective business intelligence (BI) software is greater than ever. “Manufacturers need a BI system that will allow them to combine all the data that is coming from different sources – whether it be our Teamcenter offering, SAP Near organis ly one third or Microsoft Dynamics – and of atio plan to ns either u then make sense of this data,” se or use th e clo SaaS to says Eduard Marfa, director augme ud or nt core B EMEA marketing – Teamcenter, I funct their ions Siemens PLM Software. Sourc e: Gar tner “The data warehouse used to provide decision support must also

Fast fa ct

now integrate real-time data such as downtime and throughput metrics and correlate it with order data from enterprise resource planning and logistics systems,” says Melissa Topp, product marketing manager, ICONICS. “For example, our real-time middleware GENESIS64 Platform Services provides seamless integration of all such data, whether acquired through industrial protocols such as OPC-UA or system APIs such as web services or SQL Server.” This increase in data and data sources is not the only problem manufacturers have – the speed at which they receive data is increasing and, as a result, so is the speed at which they have to react to it and make decisions. “Manufacturers may be able to analyse data and produce relevant insight, but if they don’t do it in a timely fashion – if the process is slow and they produce it late – then they will fall behind their competitors,” says Enrique Andaluz, industry solution manager, discrete manufacturing, Microsoft. “Companies need to be able to react and change elements to the insight they have received to resolve problems within their business.” “The speed at which information workers can obtain relevant intelligence about their production processes directly affects their ability to make informed decisions based on changing conditions within their plant,” adds Topp. Being able to collect this deluge of data is, however, no longer enough. What manufacturers really need is to be able to gain contextual and relevant insight from the data they are already collecting. This would enable key decisions to be made in a faster and smarter way. “We have been living in the information age for quite some time, and have effectively learned to use technology to gather vast amounts of data related to anything and everything about our manufacturing processes,” says Topp. “The evolving trend that we are seeing now involves manufacturers seeking to apply technology that helps them to understand and comprehend all of that data.” “It’s about converting data into information and then transforming that into insight,” adds Microsoft’s Andaluz. “This will help manufacturers differentiate themselves and gain competitive advantage.” But to get this competitive advantage, the information needs to be shared with the right people – whatever department, role or location they are in. “Once you have access


Fast fa ct

feature business intelligence

to the information and can put it in context for employees, they can collaborate and make improvements to the business,” says Invensys’ McGreevy. “It provides better end-to-end visibility on factors that impact the quality and consistency of production – everything from raw materials to energy and labour costs. This improved visibility enables things like quicker time-to-market for new product introductions, improved yield and product quality – and ultimately customer satisfaction.” “Manufacturers have to constantly monitor, in the short and long term, the effect BI will have throughout the business,” says Ayala. “If the information stays in operational silos without considering the wider perspective, such as what’s happening in my customer base, or to my employees, BI just gives you more of the same.” Adding collaborative, personalised technologies combined with situational insight will help manufacturers do this, as well as improve decision making, manage risk and increase productivity. “As teams start to collaborate across functional areas, the information will become more relevant,” says Dell’s Ayala. “By tearing down these operational silos, the possibilities are endless.” “A good BI platform enables the creation of situational insight at a personal level, which employees can then react to and prioritise problems quickly,” adds Andaluz. “It creates a collaborative environment that can help solve problems and deal with the complexity of data.”

“Improved visibility enables things like quicker timeto-market for new product introductions, improved yield and product quality – and ultimately customer satisfaction”

Rob McGreevy Invensys

The ability to manage that information and make it easy to understand is another critical issue in ensuring employees receive information that is relevant to them. One way that users can easily access and manage this data is through the cloud. “The cloud offers a great opportunity to collect the right data and to process it in a faster and more efficient way, which accelerates visibility,” Andaluz continues. “This is where mobility, cloud and devices comes in – not only through things like smartphones and tablets, but also through embedded devices in cars, on plant floors and in planes and trains.” “Data from our systems, as well as from a myriad of other plant data sources, can be sent via the cloud to smartphones subscribed to the SmartGlance Mobile Reporting service,” says McGreevy. “In effect, SmartGlance completes the information ‘loop’ by

Visual reports displayed in an intuitive manner helps users make informed decisions

providing easy-to-view and easy-to-analyse data reports anywhere and at anytime. It differs from web-based reporting applications because its native smartphone app takes full advantage of screen navigation features found in today’s leading mobile devices. Viewing and manipulating data reports and graphs is extremely easy and fast. The cloud is proving to be a great way to leverage BI tools and solve some of the technical and commercial hurdles that exist in the manufacturing industry.” The situational insight that manufacturers get from this data in the cloud then has to be available in a role-tailored, personalised and simple way. “BI systems have to be flexible enough to build the kind of reports and dashboards that companies want without much effort or stress,” says Marfa. “Flexibility is key here – employees should be able to access this data through a range of technologies such as Siemens PLM Software’s Teamcenter, Microsoft SharePoint or Excel PivotTables. With our Teamcenter for Reporting and Analytics offering, users can export reports and dashboards that they have pulled from a variety of sources into other front end applications.” The way that reports and dashboards are available to users is key as they must be able to accurately represent the information in a relevant, contextual and highly visual way. Marfa describes how Siemens PLM Software’s offering can help improve the user experience by providing richer and more visual reporting capabilities: “With Teamcenter Mobility, users can access and browse data directly from a tablet device. Instead of just providing a list of tasks, we provide dashboards with graphs, which users can then interact with rather than just reading. These

In 201 2 longer , mobile BI w be a n ill no ic it will becom e to have – e the n ew BI mantr a

visual reports enable users to play a more active role in the BI process and participate more in product development.” While it’s important for users to play a greater role in the BI process, the global nature of the manufacturing industry means that employees are not only dispersed around the world but are more mobile. “Mobile devices – whether they be rugged industrial devices that are used on the manufacturing floors or smartphones – are playing a major role in BI in industrial manufacturing,” says McGreevy. “Operators are on the move a lot, so having access to information wherever they are is critical. Our IntelaTrac and SmartGlance products allow plant personnel at every level of the operation to receive and act on real-time operating data. IntelaTrac is our mobile workforce management and decision-support system based on .NET, which allows operators to share data with the mobile workforce, providing better visibility into real-time plant operations and helping workers adapt their workflow based on actual plant conditions, thus improving performance and minimising costs. SmartGlance leverages two of today’s most important new technologies – smartphones and cloud computing – to keep plant decision makers and operators fully aware of the plant’s performance.” With operators being more mobile, this means that BI tools need to be available anytime and anywhere, which is where systems that are optimised for smartphones and tablets come in, like Teamcenter Mobility, for example. In fact, Gartner research suggests that 33 per cent of BI functionality will be consumed through handheld devices by 2013. And, according to the Aberdeen Group report, 2012 Strategies: Putting the Intelligence in Mobile BI to Work, organisations that deploy mobile BI will increase their market responsiveness and decision making speed, and raise the visibility of alerts and exceptions that accelerate problem resolution. “BI is about accessibility – whenever, wherever and whoever you are, and no matter what IT skills you have,” adds Ayala. “The cloud, smartphones and enhanced data visualisation will play an important role as a medium to


e: For


Viewpoint: Robert Ayala, Dell

Viewpoint: Rainer Haselmeier, Yaveon

From BI to AI

Managing complexity

Robert Ayala at Dell looks at the new ways that business intelligence is developing

Rainer Haselmeier explains how the right business intelligence tools can enable better decision making

Business intelligence (BI) is heading in a

Today manufacturers have to cope

really exciting direction due to the data

with increasing complexity in customer

explosion and the new interfaces that

markets as well as their own operations

are allowing business users to create

and IT infrastructures.

insight without having the technical

Yaveon clients in the life sciences

skills to use traditional systems. Business

industries have to manage extra

users have a vast understanding

complexity in their manufacturing

of their company’s operations and

processes and ERP applications driven

interests. Enabling them to mine the

by the need to be/stay compliant with

data and build visualisations that create

increasing regulatory requirements.

precognitive meaning around complex issues is a powerful thing. At the end of the day, BI provides

Manufacturers will only be able to manage this growing complexity and increasing customer needs (and thus

content for managing your business

stay ahead of their competition) if they

(customer, vendor, stockholder and

can streamline their decision-making

other relations). The better you are at

processes. The key to faster and better

supplying your decision support system

decision making is the use of business

with ever-growing amounts of quality

intelligence (BI) systems.

data that has been analysed and

Our BI approach is closely linked to our

interpreted by subject matter experts,

business process management solutions.

the more likely you are to produce

We see BI as a vehicle that allows our

good results. It’s all about statistically

clients to constantly measure, review and

increasing the probability and, in

improve the performance of business

addition to being a form of artificial

processes. Meanwhile, BI systems must

intelligence, it is a clear competitive

provide real-time access to all relevant

advantage – whether you are trying to

information anytime, anywhere and

launch a new product, provide a better

across all devices while being flexible

customer experience, reward and retain

enough to answer any questions that may

talent, streamline your operations or

come up in the analysis process.

increase shareholder value.

Rainer Haselmeier is director – information Robert Ayala is

and process

finance senior


consultant at

consulting at




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feature business intelligence

enable this – making the insight gained from the data more relevant, contextual and accessible.” In the future, the enhanced data visualisation model that Ayala mentions could involve augmented reality and Microsoft Kinect – the company’s controller-free console that is making waves in the commercial sector. “Taking the natural user interface one step further, we predict that in the coming years you will see BI solutions that offer an even more immersive experience, using Kinect technology and gestures to truly explore oceans of data in ways you never could have imagined possible,” says Topp. But with all these different ways of consuming BI – Kinect, smartphones, tablets – the real benefit will be derived from matching the business need to the relevant BI tool. And with the rise of these consumer-friendly technologies, BI will move from solely involving traditional business data to cover information on a wider scale and range of topics. “BI will expand well beyond just general business data,” says Ayala. “It will encompass, monitor and analyse new forms of information, for example weather patterns, sports statistics, or political information. All of this is potentially relevant to manufacturers and the way they run their operations. In short, BI will have a ripple effect throughout society as a whole.”

30.5 p er c organ ent of Euro isat pe raise t ions expect an heir BI/ to softwa a re spe nalytics nd in 2 012 Solution spotlight: DELMIA Operations Intelligence for Composites


e: IDC

A fact-based intelligence approach DELMIA Operations Intelligence for Composites reduces composites quality errors and rework with fact-based answers In the composites industry, manufacturing

Formalise manufacturing know how:

engineers and process and quality experts

capture best practices from past production

are in charge of successful new product

data for clear recommendations to

introductions, ramp-ups and continuous

workers; improve yields by capitalising and

improvement of first-pass yield.

industrialising best practices.

To help them, the Dassault Systèmes

Scale up production volume: monitor

DELMIA Operations Intelligence for

shop floor data to quantify risk of defect and

Composites solution detects risk patterns

proactively prevent scrap and rework and

with a fact-based approach supported by

increase product quality through a closed

actual data. It monitors real-time shop

loop, continuous improvement process.

floor information, analyses the risk of quality defects and alerts the operators of

issues while there is still time to correct the situation. The solution allows companies to: Remove unpredictability: analyse shop floor data to discover hidden root causes of previously unexplained voids and delamination defects; and simplify execution and control of complex and highly engineered composite processes.

In practice: Global collaboration

Lockheed Martin Siemens PLM Software enables real-time online collaboration for all stakeholders involved in the F-35 The F-35 Joint Strike Fighter aircraft is being

and manufacturing data for each aircraft

reality for both engineering processes and

built by a Lockheed Martin-led coalition

configuration must be managed, as well as

released designs across five major partners

of leading military aircraft manufacturers

the data required to support the planes.

and 35 design suppliers.

and suppliers around the world who

Lockheed Martin has adopted Siemens

must work as if they are one contiguous

PLM Software’s Teamcenter solution as

enterprise. These parties reside in more

the foundation for a global collaboration

than 30 countries, spanning 17 time zones.

network supporting the programme. To date,

Coordinating their efforts and fostering

more than 6,500 users across the extensive

collaboration is a critical challenge. Similarly,

supplier network have been brought online,

managing all of the multiple formats

totalling more than 130 sites worldwide

of design data involved in this project

(spanning seven countries and nine time

is equally crucial. In addition, all design

zones). Real-time online collaboration is a

feature Sales and service in automotive


Change There’s no doubt that automotive manufacturing is becoming increasingly complex in order to meet the demands of today’s customers. Chris Harries, Microsoft’s worldwide industry solutions manager for automotive, reports on the technologies that make a world of difference Sales and service in the automotive industry has always been difficult, and it’s not getting any easier. As differentiation has become harder to achieve, and the speed of new model launches has accelerated, advantages from design innovation can be neutralised in a single upgrade cycle. With this in mind, car manufacturers have to maximise the window of opportunity through much more dynamic and pervasive advertising and consumer engagement programmes, building up interest and excitement prior to a launch, and holding it at a high level for longer.


feature Sales and service in automotive

But getting customers interested and excited is no easy feat. In a world where consumers are heavily influenced by the internet, it is critical that the manufacturers are active participants in social communities, helping to form these opinions and create champions for their models. And it doesn’t stop here. Once these informed customers have made their decision, they are no longer prepared to wait for many months for the car of their choice – too long a wait and they will look elsewhere. This means that manufacturers and dealers need much better connectivity so that they can act on the customer’s excitement, and turn it into a deal. “The complexity of automotive manufacturing has increased significantly over the past fifteen years,” says Eduard Marfa, Siemens PLM Software’s director of marketing for the Teamcenter portfolio in EMEA. “Today there’s an unlimited number of options available to customers, who have higher expectations for quality and service than ever before.” Olivier Sappin, vice president of the transportation mobility industry solutions at Dassault Systèmes, adds: “Selling a car is now all about the customer – not only when it comes to the in-car experience, but the sales experience and the after-sales experience too.” As demand for change is increasing, as globalisation shrinks the world, as consumer choice and voice increases, and as everybody and everything becomes ‘always connected’, the key to success in automotive manufacturing

lies in integrated technology systems. However, although the systems in place today keep track of every event and of every decision, they don’t help with the discussion itself. As systems of record they are fantastic, but as systems of engagement there is much work to do. “Manufacturers are constantly looking to get the most from their investment, both in terms of cost and customer satisfaction,” says Mark Gorecki, sales and marketing manager at Epitomy Solutions. “Our clients are looking to deliver a high quality process but in the most cost-effective manner, and they want proven technology to deliver this. Many automotive manufacturers rely on human interaction and knowledge in the aftersales market, rather than online data analysis, when best practice points towards a combination of both.” “Current legacy systems are undoubtedly compounding industry challenges further,” adds Iain Milligan, Epitomy Solutions’ marketing executive. “Many people throughout the supply chain are still comforted by paperbased documentation. To succeed in today’s marketplace though, manufacturers need the consistency of information afforded by integrated technology solutions.” Sappin agrees: “Consistency is key, but unfortunately we’re still at a stage where the solutions used by product development, manufacturing, sales and services, and customer services are all very disparate. The automotive industry needs better technologies to share

“Our clients are looking to deliver a high quality process but in the most cost-effective manner, and they want proven technology to deliver this”


Mark Gorecki


Epitomy Solutions

FOLLOW OR WATCH THEM LEAVE YOU IN THEIR DUST. information across all actors involved and have a 360-degree view of the customers. These technologies are already out there – but it’s about investing in change.” This is where Microsoft technology comes into its own. Microsoft’s Discrete Industry Reference Architecture Framework (DIRA) is helping our customers and solution partners implement the elements required to achieve effective change. DIRA identifies six themes that enhance innovation and productivity to help discrete manufacturers select technologies to improve individual performance, extract more value from existing enterprise software investments, enhance collaboration, and create new products and services. In addition to this, Microsoft Advertising solutions are engaging customers wherever they










feature Sales and service in automotive

are, across a variety of platforms, including their smartphone, laptop or tablet in the workplace, or their gaming or social networking device when at home. No other company has the potential to reach people across all platforms 24 hours a day. And Microsoft’s collaboration technologies are enabling OEMs, suppliers and dealers to share information on a new level. Using platforms such as SharePoint and Lync within PLM solutions from partners such as Siemens PLM, PTC, Dassault Systèmes and AutoDesk, makes it possible to put detailed data into the hands of everyone who needs it. “We’ve been using Microsoft technologies to develop a number of solutions that help automakers and their suppliers accelerate the development of innovative products that have higher chances of market success,” explains Dassault Systèmes’ Sappin. “Based on the PLM 2.0 architecture, our solutions integrate business process management with cutting-edge tools for design, engineering, analysis and manufacturing so that all automotive product development stakeholders can effectively collaborate

throughout the lifecycle of the product. As well as our focus on the 3D experience, we’ve also created a social collaboration platform called 3DSwYm. Creating online communities enables manufacturers to gather people from different disciplines, geographies, companies and start networking, sharing information, experiences and ideas. It also allows customers’ needs to be placed at the heart of product development activity by involving consumers in the communities.” Siemens PLM has a significant amount of experience working with global OEMs in the industry. Ford Motor Group is one example which, using Teamcenter PLM technology to manage in-vehicle software, has made over US$100 million in warranty cost savings. This implementation has also set the stage for additional savings through software reuse. “Siemens’ approach to PLM enables car manufacturers to design vehicles for commonality,” says Marfa. “Using a wide range of Microsoft technologies, the Teamcenter PLM environment provides the information that all important links in the

In practice: Design collaboration

Local Motors US car manufacturer is designing with a difference Local Motors, the next-generation US car

customers of the vehicle. The first effort of

company, has adopted Siemens PLM’s

this collaborative process resulted in the

Solid Edge software as the computer-

Rally Fighter, the world’s first open source

aided design tool for its recently launched

production vehicle.

Open Electric Vehicle project and is

Damien Declercq, Local Motors’ director

recommending the software to its entire

of new business development, says that

product design community.

the co-creation tool will help to improve

Local Motors employs a unique approach

relationships with customers. “Co-creation

to vehicle design called co-creation.

is allowing us to put the customer at the

Combined with a revolutionary, local

heart of entire operation,” he says. “They can

assembly and retail experience, co-creation

help us develop the car from the ground up,

leverages the popular crowdsourcing

and they are engaged at every step of the

concept to design collaboratively and

process. The community also comes up with

develop a vehicle by involving an open

ideas that help us to solve problems, so it’s

design community, in this case a community

a totally collaborative process allowing us to

of 14,000 – including the eventual

get better ideas quicker.”

Fast fa ct

50 per ce earned nt more rev purcha after the c enue is usto ses to the a product c mer ompa sale of re the as set itse d lf

chain need to quickly evaluate Sourc previous designs e: IDC and their associated manufacturing processes against current requirements – and thereby determine and facilitate re-usability. Using solutions such as platform designer supported by Teamcenter Mobility, manufacturers can design a whole family of cars quickly and effectively, and get products to market quicker than ever before.” Partners like Epitomy also have a major role to play here. “Our heritage is strongly linked to the automotive sector,” explains Milligan. “We’ve worked with high profile automotive manufacturers for over a decade, providing solutions built on the Microsoft stack such as Data Manager and Publisher, which bring the benefits of a single data view improved data management efficiency, enhanced data accessibility and usability, and increased dealer support driving parts sales. One of our customers, Optare Bus, provides an interesting case in point. The bus and coach builder uses our solutions to manage aftermarket part sales. Since adopting the solution it has seen a 75 per cent increase in efficiency and time savings, and has cut incoming calls by 33 per cent, which really is remarkable.” In addition to these solutions, Dynamics CRM is providing companies with a world-class CRM platform fully integrated into existing office productivity tools such as Exchange and Excel. Furthermore, the underlying technology – what we at Microsoft call xRM – provides our customers with a core relationship management platform. Not only ideal for the emerging need for better vehicle relationship management, this platform can also help customers improve relationship management in all areas, including dealers, suppliers, partners, industry groups and legal bodies. Given the power of the platform, many Microsoft’s partners have built up capabilities to deliver specific solutions. Microsoft is also making great waves with analytics. This has long been an area that requires deep expertise in mathematics and technology, but now Microsoft’s standard database and analytics tools with very powerful

visualisation are making intelligence available to anyone, without the dependency on IT departments or systems experts. There’s no doubt that Microsoft offers a truly end-to-end platform, and this is something we’re committed to investing in long into the future. The power of the consumer voice can only increase, and technology will need to keep pace with the volume and relevance of data that will be available. Vehicle connectivity will drive a whole new world, as the vehicle itself starts to schedule its own maintenance, and as OEMs develop advanced technologies to resolve issues electronically on the road. The mass of new data that will become available will enable better product maintenance, and at the same time create the potential for the development of many new services and sales models. And we are certain to see the continued advance in virtual reality, especially for vehicle configurations, test drives and maintenance, giving a much more natural user experience. Only the connected manufacturer will be able to cope.

Viewpoint: Patrick Schneidau, Vice President of Product Marketing, PROS Pricing

Optimising price Patrick Schneidau explains how price optimisation solutions facilitate better sales The automotive industry ebbs and flows

technology solutions that manage their

based on the economy. For the past four

businesses with far greater agility after years

years, the industry has been faced with how

of under-investment.

to manage diminishing capacity to reflect

Most technology solutions help

customer demand. Many manufacturers

companies drive efficiency and cost from the

have shifted focus to serve the after-market

business. While PROS does as well, our core

parts business, seeking an alternative

value is growing revenue and sales, with

channel for revenue and profit growth.

a focus on understanding how customers

Nonetheless, the aftermarket parts

benefit from products our customers

business faces its own obstacles: volatility

provide. Pricing optimisation software

in raw material costs, global currency

provides recommendations to pricing and

fluctuations and a global marketplace

salespeople, instead of simply automating

teeming with competition from low-

processes, which most technologies do.

cost providers. To address this increasing

Sales teams are better able to serve their

volatility, companies are now looking for

companies and respond more quickly.


Jan Larsson

design reuse

EMEA Marketing Director, NX, Siemens PLM Software

The importance of design reuse

“The concept of design reuse is very close to something everyone is familiar with – recycling”

Jan Larsson at Siemens PLM Software explores how manufacturing organisations can make better use of the designs they already have to drive innovation The wheel is often described as one of the most fundamental design achievements in human history, and from that follows a range of common sayings around ‘reinventing the wheel.’ But without new designs, innovation can stall, and so designers need to strike a balance between the two. Currently too many engineering companies waste valuable resources because they do not realise that a current engineering problem has already been solved or that they can cut design time and costs by repurposing existing designs and components for new projects. The concept of design reuse is very close to something everyone is familiar with – recycling. Like recycling, reuse uses far less energy than making goods from scratch, but it also moves well beyond material cost savings. Design reuse relates to product design as a strategy and provides the ability to reuse project definitions, requirements, components and assemblies. When done successfully, reuse can result in faster product innovation and time to market, higher quality and greater efficiencies in downstream applications such as simulation,

tooling and machining. For instance, many manufacturers maintain bloated inventories resulting from the overzealous desire to constantly update designs simply for the sake of it. Design reuse can result in major inventory reduction as well as bulk purchasing discounts, because large numbers of components can be ordered and used in a variety of products. This also provides warranty and service benefits and quality assurance as tried and tested parts are included in the design, and their tolerances and capabilities are already a known factor. Another benefit is that starting with an already completed design or a range of pre-approved components allows engineers to avoid starting from scratch and gives them a solid base to build on. According to an Aberdeen Group survey, 46 per cent of companies are pursuing the ability to better create, capture and reuse product knowledge as a way to increase product revenue while controlling costs. Companies that have taken this approach have realised significant economic benefits and competitive advantage in global markets by improving quality, speeding time-to-market and becoming more cost-competitive.

Improving reuse opportunities for automotive suppliers To meet ambitious sales goals with limited capital

platform, leading to less costly product

in today’s economy, automotive suppliers need to

development and faster quote preparation.

boost design efficiency and enhance collaboration.

Process-focused workflows help to increase

However, design reuse is frequently impacted in

designer output and reduce the cost of product

these industries if an organisation’s customers

development. Knowledge sharing among

are standardised on differing software. NX and

geographically diverse staff is improved through

Teamcenter can overcome this challenge, enabling the use of community collaboration technology, design reuse through a common, interoperable

which also enables round-the-clock collaboration.

Despite these benefits, there are several challenges that can hinder a designer’s ability to leverage a design reuse strategy successfully. Implementing effective design reuse While the majority of manufacturers are pursuing a number of reuse initiatives, levels of success vary significantly. Aberdeen Group research points to the fact that many organisations still struggle to change existing designs into new ones. This problem points back to how the current generation of design tools fundamentally works. Tackling the issue of finding the right designs comes down to implementing a structured and effective database and search tool. Conventional searches of most databases are based on metadata or attribute comparisons. Successful searches require you to implement and strictly follow consistent naming conventions. Unfortunately, this practice is rarely adopted in real life because it relies on multiple people all consistently following the same set of rules. However, the one characteristic that is common across similar parts, no matter how they have been classified or named, is shape. By adding

shape to the search criteria, it is easier to improve part reuse, facilitate data cleansing and search across multiple data repositories. A powerful geometric search tool can allow companies to identify redundancies and reuse opportunities, reducing inventories by as much as 52 per cent. Once designs and parts are easy to locate, the next problem that needs to be addressed is managing the interdependencies of features in a design. Feature-based CAD tools allow users to create a sequence of individual geometric features that collectively form a complete design. Very often, interdependencies are created within the sequence of features. This interdependency can be incredibly powerful in making broad sweeping changes during the work-in-process phase of design, yet it can also be constraining. A change to a feature early in the sequence can force a later feature to create invalid geometry. In fact, Aberdeen’s research shows that 48 per cent of companies are continually faced with inflexible models that fail after changes. One way to overcome this is to train users and increase their CAD skills, but this is very costly and moves the focus away from creating new and innovative designs. This is where a flexible and interoperable design software or application that can work with native and non-native data is key. This allows designers to edit geometry regardless of how it was created, and intent is applied and preserved, providing predictable results with synchronised rules, features and geometry. The next piece of the puzzle is about how to design reusable parts and templates. Although it’s often difficult to anticipate how a model will need to be changed, ultimately this requires planned reuse. Implementing a reuse library provides a common platform for quickly finding a wide range of reusable design objects – including system

Geolus integration reduces a company’s part development costs by enabling designers to find part designs that already exist instead of designing entirely from scratch templates, part libraries, product templates and more – and allows users to take individual objects and drop them into automation workflows. Finally, a reuse strategy must move beyond just design. In order to gain all the benefits reuse has to offer, one must look at the downstream processes. Companies must extend their reuse initiatives to include reusing simulation and NC programming content. Again, the right application can provide the capabilities required for simulation or to quickly prepare geometry for manufacture, thereby allowing the analyst to edit and try multiple design alternatives quickly. The message is clear – by planning and implementing a systematic and technologically proficient design reuse structure, in conjunction with the search, design and editing tools to support it, companies can maximise productivity while cutting design costs. Product development organisations not implementing effective design reuse are behind and falling further back every day. Being able to find existing data, make ad-hoc changes to it, develop and design reusable parts and templates and adapt and modify geometry for efficient and seamless use by downstream processes gives designers the freedom to innovate, without ‘reinventing the wheel.’ Understanding the real-world issues

discussed in this article is critical for the companies that develop software solutions to address them. At Siemens PLM Software, for example, the need to reuse designs is part of what goes into the customer-driven product development process. The NX CAD/CAM/ CAE solution with synchronous technology allows designers to work with geometry from multiple sources, and the Geolus shape search technology quickly puts similarly shaped CAD models at the designer’s fingertips. When this technology is combined with tight integration with the Teamcenter digital lifecycle management software, companies can collectively facilitate a significant increase in design reuse along with a corresponding drop in new product development costs. Furthermore, its collaborative nature means that engineers can work within teams that are geographically separated in real time, further boosting resource efficiency. This saves time and money, and helps companies implement a collaborative environment that facilitates smarter product development decisions, resulting in the faster development of better products. Jan Larsson is EMEA marketing director of NX at Siemens PLM Software 39


Chris Pieper

simulation lifecycle management

Associate Research Fellow, Kimberly-Clark

The right fit Chris Pieper explains how his company is using simulation lifecycle management software from Dassault Systèmes to speed up product development

The products we design at Kimberly-Clark may be feather-light, but they’re as demanding to develop as any bike frame or truck chassis. Our company has always focused on thin, ‘soft’ products, from paper and newsprint in the 1870s to today’s multi-billion dollar global brands – Huggies, Kleenex, Scott and Depend, among others. Unlike the newsprint of yesteryear, however, these products often depend on accurate, comprehensive simulation to ensure optimum performance. The materials we use now (paper, cloth, polymers and custom composites) can be highly nonlinear, anisotropic, and undergo large strains while in use. Predicting the complex deformation of our products as they interact with people and the surrounding environment generates an immense volume of simulation files and data. In recent years this had built into a daunting challenge: how could we explore, manage and reuse it most efficiently? The data we needed to organise was not just high-volume; it was decentralised between a CAE modelling team in Neenah, Wisconsin, and analysts in Roswell, Georgia in the US, and Seoul, South Korea. Initially we tried to administer everything with simple methods such as defined file structures and naming conventions, but it was still difficult to find and confirm the latest version of a simulation. Clearly, we needed robust data management if we wanted to track and review previous analyses. Finding SLM Since we already used Abaqus from Dassault Systèmes as our primary FEA software, it made sense to approach the company’s SIMULIA team about implementing their simulation lifecycle management (SLM) solution. With SIMULIA’s help, we went through a checklist of our criteria:

easy configurability, out-of-the-box capability, data search and retrieval, compatibility with our existing hardware and infrastructure, and customer support. The new SIMULIA solution clearly offered us a way to streamline our processes, automating the steps that didn’t require expertise and freeing analysts to focus on the simulations themselves. We designed our analysis process so that it would be scalable and as efficient as possible. Building a simulation cycle To organise our analyses, Kimberly-Clark used SLM to set up a series of process templates, all based on a simple format for building models, running them, and post-processing the results. Our system works like this: Someone brings us a proposed design of a diaper, for example. Ideally they have already created a digital model and specified a material; that gives us the data we need to go forward. Next, we combine the diaper geometry and the material characteristics with a human torso simulation. We can reuse a virtual human from the existing SLM library and, increasingly, we can modify existing 3D product designs and material characteristics files to create a full, welldefined model for analysis. The analyst also chooses an SLM template that most closely fits the task. Each is based on a generic template of our workflow: build model, run model, and auto post (process). One option is selecting a template that allows a restart analysis (to consider multiple-use cases or to change loads, interactions and boundary conditions). During the build model phase, SLM can automatically load the required model into Abaqus/CAE and extract data from input files, based on file import and export rules defined by the user. Outputs from the build model phase

include the completed model file for running and the Abaqus input file(s). Run model manages the actual analysis. Because SIMULIA SLM is adaptable to multiple template formats, the analyst can re-configure the template for incremental changes in workflow that best suit the current simulation. In the case of the diaper, there may be gasket components that need to be motion-tested to ensure that they don’t ‘gap away’ from the skin and create a pathway for leakage. There are many different stresses and loads on the material, and a number of shape changes to be considered as the human body moves. The SLM application automates the analysis and can run it on a remote cluster for maximum computing speed. Auto post returns the results to the analyst’s workstation and, using Abaqus Viewer and either a fully automated, semi-automated, or userinteractive procedure, creates output in forms defined by the template for the convenience of the end-user, normally a product developer. Multiply this single example by thousands of simulations, and you’ll see why SLM has radically transformed and simplified our analysis methodology.

“Now we can perform more tasks at once, confident that the software is automatically tracking changes and versions accurately and organising revisions for later review and use”

From months to minutes Now we can perform more tasks at once, confident that the software is automatically tracking changes and versions accurately and organising revisions for later review and use. SIMULIA SLM has helped speed up our modelling through process standardisation and greatly improved search capabilities. Formerly, developing and assembling a complex model could take up to a month. With the tools and techniques we’ve developed and the data libraries we’ve accumulated, we can build these models in minutes.

But our greatest time savings aren’t in the multi-tasking, nor in the FEA simulations we’ve streamlined. It’s in the ones we don’t have to repeat at all, because a previous analysis is available with pedigreed data and retrievable results. With our entire team having transitioned from our old tool set, we see additional potential opportunities for using SLM. We plan to integrate it with our home-grown code and with other simulation software. We’ll also continue to scale up SLM, adding more users and compiling more data. Now that we have efficient simulation data management, our huge libraries of information have gone from a daunting challenge to a treasured, time-saving resource. Many KimberlyClark products may be disposable but, with SLM, our analyses of them can now be recycled. We feel this offers us significant cost and time savings in our product development. Chris Pieper is an associate research fellow at global consumer goods company Kimberly-Clark, which produces products under family and personal care brands such as Kleenex, Scott, Huggies, Pull-Ups, Kotex, Poise and Depend

Using SIMULIA, Kimberly-Clark can customise pre-configured templates to simulate new products 41

in practice

“Pri error quando graecis ne, aperiam sapiente ex has. In ridens vivendo interpretaris per, an ubique ceteroscri aperiam te quando”

manufacturing execution system

Gordon Esmond Freye, Microsoft

Baltika Breweries Overview Solution: Manufacturing execution system Benefits: Significant increases in plant productivity and efficiency, reduced operating costs, enhanced reporting, intuitive user interface, improved information access Technologies: Wonderware Equipment Operations Module, Wonderware InTouch HMI, Wonderware MES/ Performance, Wonderware Information Server, Wonderware System Platform Partner:  Invensys Operations Management

Baltika Breweries is the largest beer producer in Russia with a 41 per cent market share and a production capacity of 50 million hectolitres per year. Owned by Carlsberg Group, the company maintains brewing sites throughout Russia as well as in Azerbaidjan. With a product portfolio of 30 beer and 10 non-beer brands and exports to more than 60 countries, Baltika needed a technology solution that would enable it to better manage manufacturing and maintain accurate production records. Its goal was to reduce costs per unit through improved equipment performance, less material loss, better supply chain processes from distributor warehouses and tight controls on production costs. Baltika production management decided to standardise its corporate and manufacturing systems on Wonderware MES software from Invensys Operations Management. Its decision was not only based on the advanced technologies incorporated in the Wonderware MES solution, but also the reputation and experience of Invensys and the Wonderware brand in successful implementations at other breweries around the globe. Working with Vent Company, a Wonderware certified system integrator, the implementation of the Wonderware MES solution began in 2007 at Baltika’s Samara facility. The Invensys solutions installed included Wonderware InTouch HMI for process visualisation; Wonderware Equipment Operations Module for tracking and traceability; Wonderware Information Server for corporate-wide access to data; and Wonderware MES/Performance software to collect, track and communicate realtime equipment performance and efficiency

information and KPIs. The foundation of these powerful Invensys technology components is the Wonderware System Platform, which provides Baltika with a single, scalable platform for all SCADA, supervisory HMI and manufacturing execution system (MES) applications required by the company. “Prior to implementing the Invensys MES solution, Baltika used a custom-built system for data collection and analysis,” says Yuriy Chentyrev, director of operations at Baltika. “All process data was manually entered by plant operators into Microsoft Excel or the Monolit Production database, which was a timeconsuming process and prone to errors. The data was then incorporated into a spreadsheet to generate production and data analysis reports for management, but these were not always accurate. Baltika desperately needed a more precise method to manage data detailing plant operations and final beer production statistics.” Wonderware InTouch provides Baltika plant operators with real-time views of the production processes to ensure all lines are functioning at optimum levels. The Wonderware InTouch screens at each operator station provide sophisticated graphic visualisation displays detailing operational status throughout the entire manufacturing process, from brewing to packaging. The solution also offers features that were not available to operations management by the prior system, including resolutionindependent graphics and intelligent symbols that enable direct interaction with the processing system. The technology also includes sophisticated scripting to extend and customise applications for the company’s

specific needs, real-time distributed alarming with historical views for analysis, and built-in, real-time and historical trending for reporting and analysis of operations efficiency. Not only are plant managers at the Samara facility now able to access critical production data, but so can executives at the company’s headquarters in St. Petersberg. As an integrated web server, Wonderware Information Server simplifies the organisation and delivers operations information for use across all functions across Baltika. The company also employs the Wonderware Equipment Operations Module to capture real-time process data and provide detailed batch data reports for analysis. This allows Baltika to track every raw material used during the brewing process. The software also captures traceability records, which enable rapid response from plant operators to prevent product recalls. In addition, the software’s recipe management system enables the brewer to control ingredients in a more precise way and provides product development genealogy to track problems back to the source if necessary. Paired with the Wonderware System Platform, a comprehensive industrial software platform for SCADA, HMI and MES applications, Wonderware Equipment Operations Module provides comprehensive data management and seamless interaction with the Wonderware InTouch HMI and other plant floor visualisation systems. With the Wonderware MES/Performance software Baltika is able to better monitor plant performance and the use of raw materials as well as provide detailed downtime analysis for greater asset use. It also has achieved significant increases in plant productivity and efficiency

through overall equipment effectiveness monitoring and reporting. Production events can now be adjusted and controlled at the production level and material loss can be calculated in real time by product lot. “Baltika also has greatly improved its approach to planned maintenance activities,” says Chentyrev. “Prior to the Invensys MES software solution, management kept a paper trail of various facility downtime occurrences. Now operators can rely on more accurate Pareto charts and machine statistics data, which have vastly improved Baltika’s maintenance management operations. In addition, by recording all production events and machine stats, Baltika is able to automatically define the cause of unplanned line shutdowns.” The Invensys project has brought even larger

economic benefits in both the manufacture of Baltika’s products as well as streamlining management of facility operations. Key operational savings included an annual decrease of 5 per cent in steam production costs during the beer making process; a reduction of 0.56 per cent in extract loss; an 8 per cent enhancement in energy use; and a 1.8 per cent decrease in packaging material costs. In the future, Baltika plans to use Invensys technology to optimise its supply chain activities by extending integration of the software to its ERP scheduling system. This will enable it to generate reports that will assist in more efficient management of the overall production process ranging from monitoring raw material supplies to managing the manufacturing process to packaging and distribution.


in practice

in practice

Space Research Centre


Sending spacecraft into orbit to explore the unknown is inherently exciting. The Space Research Centre (SRC), part of the University of Leicester Department of Physics and Astronomy in the UK, has a long history of involvement in major international space missions. Stretching back more than five decades, its activities are diverse, with its core engineering pursuit being the development of instrumentation for space missions. Considering that it costs in excess of £20,000 per kilogram to launch hardware into space, product assurance and reliability are paramount at SRC. In conjunction with its in-house facilities, SRC has been using Siemens PLM’s software solutions for mechanical design, analysis and manufacturing for around 15 years. In the past four years it has moved completely over to a fully integrated NX and Teamcenter solution – a transition managed by Siemens’ software reseller, TEAM Engineering. “NX and Teamcenter are very much core to our research; they allow us to be more efficient in how we deliver quality to schedule and budget,” says Piyal Samara-Ratna, mechanical engineer and CAD administrator at SRC. One of SRC’s ongoing projects that has benefited from Siemens software is its work on the Mid InfraRed Instrument for the James Webb Space Telescope, the next-generation mission led by NASA to replace the Hubble Space Telescope. “Siemens products have been used extensively in this programme for design, analysis and manufacturing and have been essential tools in ensuring that the flight instrument passed its structural testing with flying colours,” explains Jon Sykes, University of Leicester lead

Jost-Werke is a leading manufacturer of systems, modules and components for commercial vehicles. Its head office is located in Neu-Isenburg in Frankfurt, Germany and production takes place in seventeen sites around the world to serve the global market. Jost-Werke supplies products including fifth-wheel couplings and trailer hitches, landing gear, trailer steering systems and milometers. In order to meet its customers’ demands for faultless products that offer good value for money, the company is constantly looking for ways to optimise its processes and improve quality. As director of global logistics at Jost, it is Thomas Garlich’s job to define delivery processes in which fault-free and qualityassured products can be guaranteed at the lowest possible prices. Jost relies on YAVEON ProE-SCM Automotive for the efficient communication and monitoring of the entire logistics process from Asia to Europe using standards such as VDA and ODETTE. Call-off orders arrive at the intermediate Jost Trading Logistics Center in China in the form of a continuously updated DELFOR message and are automatically scheduled with the two production plants in Wuhan and Shanghai. A report shows every deviation from the target data in the delivery process and intervention measures can be taken in good time. Furthermore, dispatch advice is generated in the system during order picking and sent to the customer’s dispatcher – thus ensuring the optimisation of storage capacity and maximum compliance with quantity specifications.

product lifecycle management and collaboration

mechanical engineer for the instrument. SRC is also leading the development of the Mercury Imaging X-ray Spectrometer Instrument (MIXS) – a key instrument onboard the BepiColombo spacecraft being developed by the European Space Agency. Due to launch in 2014, it is expected to reach Mercury by 2020, where it will be used to help determine the composition of the planet’s surface by measuring fluorescent X-rays. “We are designing a product of optimum efficiency with strictly controlled margins of safety,” comments Samara-Ratna. “If our instruments fail in space then there is nothing that can be done to fix them. Therefore we undertake an extensive analytical and test programme to ensure reliability. We find that the NX Nastran solver is an industry-standard tool and this promotes the sharing of models and data with our project partners.” Although the core of what SRC does is space science and related instrumentation, it is also heavily involved in technology transfer. For example, it is currently researching how technology from space instrumentation can be used in medical devices to detect tumours. “We are also making increased use of new manufacturing technologies like additive manufacturing, and for this we make extensive use of NX’s wave-linking and synchronous modelling tools to allow us to take advantage of the geometries feasible with this technology,” adds Samara-Ratna.

CAD model of MIXS produced by SRC in collaboration with Magna Parva Now that SRC has fully transitioned to NX and is using Teamcenter for CAD management, the next phase is to incorporate document and project management. “We want to use the full breadth of what Teamcenter is capable of doing,” Samara-Ratna concludes. This article was originally published by Develop3D (

Overview Solution: PLM and collaboration Benefits: Increased efficiencies, products developed on time and on budget, improved collaboration with partners Technologies: NX, Teamcenter Partner:  Siemens PLM Software, TEAM Engineering

supply chain management

Jost-Werke is using mobile label printers to help improve its logistics processes The central quality control system at the Jost Trading location checks all goods produced in the Wuhan and Shanghai area before they are shipped overseas. Since this is the final check, it must be ensured that the goods are not subsequently mixed up or changed. Every staff member involved in order picking in the stores of Jost Trading has a mobile label printer. When scanned, the released pallet is checked and recorded by the system and the relevant label is then printed. Incorrect labelling and subsequent mix-ups are thus almost entirely eliminated. “This means that we are able to perform the final check on the item at the distribution centres in China or India – and thus before the long transport routes,” says Garlich. In addition, the comprehensive YAVEON ProE-SCM platform means that it is not just standard message types and labels that can

be processed. Other business processes, such as spare parts drop shipping, can be reproduced within the standard functionality. This means that spare parts or special orders can be processed and invoiced in Neu-Isenburg, but parts are delivered directly to the customer from one of the distribution centres in China.

Overview Solution: Automated supply chain Benefits: Improved workflows, efficient delivery logistics, accurate order picking, enhanced customer service Technologies: YAVEON ProE-SCM, Microsoft Dynamics NAV Partner:  Yaveon


in practice virtualisation

Holt Cat A direct descendant of the Caterpillar name and family, Holt Cat is the largest Caterpillar heavy equipment and engine dealer in the United States. It also fabricates its own line of custom engineered products, including root ploughs and water tankers. The San Antoniobased company is growing quickly thanks to Texas’ robust construction industry. As a result, it needed a new server infrastructure. To address these needs, the company migrated its VMware hosts to Dell PowerEdge blade servers with Intel Xeon processors. Holt Cat deployed two Dell PowerEdge M1000e modular blade enclosures, one at its San Antonio data centre and the other at its Irving, Texas facility. Twelve Dell PowerEdge M710HD blade servers now host the company’s entire production VMware environment. “We consolidated 18U’s worth of rack servers into a 10U Dell blade chassis that’s only about half full,” says Quentin Snow, IT system architect, Holt Cat. “That’s a 44 per cent reduction in rack space.” Maintaining good performance for Holt Cat’s database-driven internal business applications requires substantial memory, making the memory capacity of the Dell blades a very attractive feature. “Memory density was critical for us, along with the 10-gigabit backplane of the Dell M1000e chassis,” says Snow. Holt Cat is also virtualising its Microsoft SQL Server database hosts. “The increased processing power and memory capacity of the Dell blades have allowed us to virtualise our SQL Servers, giving our databases all the disaster recovery and licensing benefits that virtualisation provides,” says Snow. “We expect to see a substantial performance improvement

for our SQL-based business applications once we move those databases over.” On average, Holt Cat is able to run three times as many virtual machines (VMs) on the Dell blades compared with its legacy servers. “I can run as many as 40 VMs on a single host,” says Snow. “We could accommodate 50 per cent growth in our virtual server environment without expanding our current footprint.” Holt Cat has also enhanced IT operational efficiency by scaling back on cabling requirements. Holt Cat uses the Dell Chassis Management Controller for proactive management and immediate access to system status, as well as Dell OpenManage Server Administrator for Simple Network Management Protocol alerts. It also has Dell ProSupport Mission Critical four-hour onsite service. “We’ve rarely had to use ProSupport Mission Critical, but we do appreciate the value that it gives us by adding software and operating system support options in addition to pure hardware support,” says

Snow. “Dell ProSupport takes ownership of the entire problem, should one arise. “We were able to get the most memory density and processor density for the best price with Dell blades, which is what matters to our business,” he concludes. “It’s a great platform for virtualisation, and much easier to manage than if we had just kept adding rack servers.”

Overview Solution: Virtualisation Benefits: Scalable, improved application performance, less network cabling and rack space requirements Technologies: Dell PowerEdge servers, Dell OpenManage Server Administrator, Microsoft SQL Server, Windows Server, VMware vSphere Partner:  Dell

signing out

Monica Menghini Dassault Systèmes

A true game changer Dassault Systèmes’ Monica Menghini chats to Rebecca Lambert about 3D technology and what it takes to succeed in business

As executive vice president of industry, marketing and corporate communications at Dassault Systèmes, Monica Menghini is helping to drive the company’s new 3D experience strategy. Her path to IT has been a little unusual, having previously held roles in the consumer goods and advertising industries. So for a woman who admits herself that she’s not a technology geek, how did she end up working among them? Rebecca Lambert finds out. What led Dassault Systèmes to change strategy and become a 3D experience company? Today’s world is more about experiences than products. Our clients are no longer in the business of just building products, they’re in the business of creating the best consumer experiences through the products they make. Describing ourselves as a 3D experience company is the best way of expressing who we are and what we do, and how we have evolved to provide our clients with what they need to serve their customers. Our mission is to keep improving and evolving our technology platform to provide our clients with the best 3D and non-3D holistic experiences that enable them to design, create and produce the best products and experiences for their own customers. How will 3D technology impact us in the future? 3D is already accessible to everyone – we go to the cinema and watch 3D films, we can even watch in 3D on our own televisions. Its pervasiveness in the consumer world is making businesses think about how they can harness this technology themselves to succeed. 3D is a media in its own right and if you think about it, it’s the most normal way of looking at the world. In the future I expect we will all be using 3D technology as the standard way of working. How is technology best used in your household? Can I start with the oven?! I think the first thing to say here is that I’m not really a technology geek. I am, however, a mother, a housewife and a business

woman, and I use all the latest technologies to keep me connected in every single sense of the word. At home we have an internet TV, a 3D TV, various smartphones, PCs, laptops, tablets, an Xbox, a Kinect, you name it! Did you always want to work in the IT industry? I’m a marketer at heart. I spent 13 years at Procter & Gamble where I worked as a marketer and then I continued my experience with one of the best advertising agencies in the world – Saatchi & Saatchi. If you had asked me then if I wanted to work in the IT industry, I’d have said “Over my dead body!” But then I was introduced to Dassault Systèmes and I began to realise that what they were doing was the future – and they were doing it in a really creative manner. It was a real surprise to me as I hadn’t realised technology could be so creative. What does it take to be successful in business? Be a dreamer! If you can use your work to make your dreams come true, that natural passion will make you successful. Money isn’t everything and it certainly doesn’t guarantee happiness. I also

think you also have to be extremely extroverted to succeed. A great deal of business is about meeting with people and sharing ideas. I get together with people in a busy way and really relish that social aspect. In terms of important business skill sets for being a good manager, I would say that you need to be a leader in a positive way, which means you need to enable and energise others to succeed.

Beam them up, Scotty

Who do you admire most in your profession? Having worked for the likes of Procter & Gamble and Saatchi & Saatchi, I’ve had the opportunity to meet some great people in my life. My career spans 27 years and in that time I’ve met thousands of brilliant managers, so it’s really hard to just choose one person. If I had to pick out three I’d say that Bob McDonald, the CEO at P&G, had a big influence on my life. Kevin Roberts, the CEO of Saatchi, really inspired me. And today, Bernard Charles at Dassault Systèmes has been showing me a whole new world of possibilities through technological innovation. What personal ambition have you yet to fulfil? I would love to be a rockstar!

“When I was introduced to Dassault Systèmes I began to realise that what they were doing was the future”

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